Question
A earnings. deet, statement of comprehensive income and 4) Bravo Co. purchased a truck on January 2, 2019 for $48,000. The company erroneously debited
A earnings. deet, statement of comprehensive income and 4) Bravo Co. purchased a truck on January 2, 2019 for $48,000. The company erroneously debited Truck Expense and credited Cash on the date of purchase. The company did not record a depreciation expense. The truck has a life of 8 years with no salvage value. Bravo Co. uses straight-line depreciation for all depreciable assets. The error was discovered on January 2, 2022. The tax rate for all years is 20%. The adjustment to Retained Earnings at the beginning of 2022 for the error would be? a. $24,000 credit. b. $24,000 debit. c. $30,000 debit. d. $6,000 credit. May 25, 2020. The acquisition did not result alur of the investment
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